SEATTLE--(BUSINESS WIRE)--Nearly one third of US organizations believe that the failure to innovate and keep up with evolving customer needs will have the biggest negative impact on their company in the next five years, according to a new global study, “Innovate or Perish”, sponsored by Automic Software and conducted by Vanson Bourne.
The study surveyed a sample of 400 Business Decision Makers (BDMs) and 4,000 consumers in the U.S, France, the U.K. and Germany (100 BDMs and 1,000 consumers in the U.S). It spanned four verticals: energy and utilities, financial services, retail, and telecommunications.
The research indicates that 77% of companies anticipate a decline in the number of customers if they fail to evolve, while 70% forecast a reduction in revenue and 68% expect international operations to decline. However, U.S. BDMs are more confident about the innovative nature of their organizations as compared to their European counterparts: specifically, 21% feel their organization is on the cutting edge of technology and has kept up completely with changing customer demands, compared with just 8% in the U.K. and 14% in Germany.
- U.S. innovation priorities different from Europe – Every U.S. organization (100%) is looking to innovate over the next year. Their priority focus is different to Europe though: in the U.S., the main areas they want to innovate in are products and services (59%), IT and technology systems (49%) and customer service (41%). European priorities are: IT and technology systems (61% average across U.K., France and Germany), products and services (41%) and customer service (31%).
- The battle for online speed versus personalization – Some 53% of BDMs interviewed in the U.S. regard the speed of an online product/service as more important than whether it is personalized. 78% respondents believe that their organization is willing to sacrifice the personalization of an online product in favor of the speed of that service.
- Customer needs being met better in the U.S. than elsewhere – Some 22% of BDMs in the U.S. claim that their customer experience is second to none, compared with 18% in France, 16% in Germany and 9% in the U.K. Moreover, just 2% of BDMs in the U.S. say their organization has not kept up well with customer needs, compared with 14% in the U.K., 3% in France and 4% in Germany.
“This survey highlights the importance the US places on utilzing technology for customer satisfaction and how well US businesses are doing when it comes to embracing cloud, big data and business automation as a key instrument in delivering enterprise innovation and change,” says Chris Boorman, CMO Automic.
Boorman concludes, “As Gartner has stated, ‘Growing your business will depend on your ability to deliver convenience and delight consumers in today’s connected economy. The rules of competition have changed; the battlefield has shifted.’1. As such, we believe the only response to increasingly technological complexity and the multitude of customer demands is the strategic application of business automation to enable organizations to dynamically and proactively engage with customers – ultimately increasing competitive advantage and the bottom line.”
Automic, a leader in business automation, helps enterprises drive competitive advantage by automating their IT factory - from on-premise to the Cloud, Big Data and the Internet of Things. With offices across North America, Europe and Asia-Pacific, Automic powers over 2,600 customers including Bosch, PSA, BT, Carphone Warehouse, Deutsche Post, Societe Generale, TUI and Swisscom. The company is privately held by EQT. More information can be found at www.automic.com.
The research was commissioned by Automic and conducted by Vanson Bourne among 4,400 individuals in four countries: France, Germany, the UK and the US. This included 4,000 (1,000 in each country) consumers across a broad demographic profiles, and 400 senior business and IT leaders (100 in each country) in the energy and utilities, financial services, retail and telecommunications industry sectors
Copyright © 2014 Automic Software GmbH (Automic), all rights reserved. Automic is a trademark and/or service mark of Automic Software GmbH (Automic). Other company, product, and service names mentioned in any Automic document may be trademarks or service marks of others.
1 Gartner, Gartner Predicts a Customer Experience Battlefield, December 18, 2014 , http://gartnernews.com/gartner-predicts-a-customer-experience-battlefield